Drawing on our many years of experience in the real estate industry, we have assembled a dynamic team of experts capable of providing comprehensive services in the real estate investment management. By effectively combining the above services, we want to improve the return of the construction, both for the investor concerned and for the market itself, and establish our company in the industry.
In DKG Development our dedicated transaction team of real estate specialists continuously scans the market for non-core real estate opportunities. This includes making primary fund commitments, acquiring assets in secondary transactions, and making co-investments with a carefully vetted stable of experienced real estate fund managers. We leverage the experience and wide network of relationships we have built up in private market investing to source and execute promising opportunities. We have strengthened these ties over many years while committing to many funds around the world. This is a key source of deal flow for secondary and co-investment opportunities.
The value of private non-core real estate
Private non-core real estate strategies have three key benefits for an institutional investor:
- they have an outperformance potential versus traditional real estate strategies
- they provide access to new investment opportunities that may not be accessible through listed or core real estate allocations
- they are able to act as a diversifier within institutional investors’ real estate or overall portfolios.
These benefits will be outlined in more detail in the following paragraphs.
Typically, private non-core real estate investments are pursued by specialized investment management firms that generally define their strategy by applying one of the following value creation methods that provide investors with outperformance potential versus traditional core strategies:
- Active asset management: examples include the leasing up of vacancies, refurbishment activities, repositioning or change of use of a property as well as (re-) development of real estate projects.
- Operationally-driven strategies: examples include the build-out of property platforms through the acquisition of portfolios or the aggregation of single property assets (e.g. senior housing, self-storage, hotels, gas stations, etc.) with the focus, apart from growth, to drive operational efficiency.
- Sourcing and execution of complex transactions: examples include real estate with favorable supply/demand dynamics held by distressed sellers or liquidity-constrained owners that can be acquired below replacement cost and/or through recapitalization.
GBA: 79.360 sq.m
Closing price: 29.134.000 euro